Jul 30, 2023
15 Biggest Aluminum Companies In The World
In this article, we discuss the 15 biggest aluminum companies in the world. If you want to read about some more aluminum companies, go directly to 5 Biggest Aluminum Companies In The World. Aluminum
In this article, we discuss the 15 biggest aluminum companies in the world. If you want to read about some more aluminum companies, go directly to 5 Biggest Aluminum Companies In The World.
Aluminum is one of the most abundant metallic elements in the Earth’s crust. It possesses many properties, being durable, malleable, strong, lightweight, flexible, and resistant to corrosion and oxidation. It also has high reflectivity and excellent electrical and thermal conductivity. It is widely used in the manufacturing of many important automobile parts, like wheels, engines, chassis, and other parts of modern cars. Globally, it is also used to produce smartphones, tablets, personal computers (PCs), refrigerators, and other electronic items.
The market growth in the aluminum sector can be attributed to the extensive use of the metal in different industries across the globe. For instance, in addition to being important for electronics and cars, it is employed in the food and beverage industry for making packaging containers, in the cosmetics industry for packing and protecting cosmetic products, in the production of different dosage forms of medications, including capsules, creams, lotions, liquid, and powders, and other pharma products.
The aluminum market, like other sectors of the economy, was severely affected by the COVID-19 crisis. However, since then, demand for cars and electronics have skyrocketed. The aluminum industry has not taken full advantage of this rise in demand since the onset of inflation following the market recovery has resulted in a shortage of workers in the manufacturing sectors, in tandem with a fall in demand from the aerospace and automotive industries. The rising consumption of packaged foods is offsetting this to some extent.
Despite the near-term headwinds, it is expected that the aluminum market will rise in the coming years. Conservative estimates of the aluminum market size before the end of this decade place it around $277 billion, predicting a compound annual growth rate of more than 5.6%. Some of the top firms working in the aluminum sector include Nucor Corporation (NYSE:NUE), Wheaton Precious Metals Corp. (NYSE:WPM), and Freeport-McMoRan Inc. (NYSE:FCX), among others discussed in detail below.
These were picked from a careful assessment of the aluminum industry. The details of each aluminum company are mentioned alongside a discussion around top firms in the sector in order to provide readers with some context for their investment decisions.
Market Capitalization: $4 Billion
Showa Denko K.K, a Japan-based chemical industry company, focuses on the future possibilities for the electrochemical industry. The company, with 33,689 total employees, has achieved excellence in its operations and become one of the leading aluminum companies in the world. Showa Denko K.K. is engaged mainly in the manufacturing and sale of chemical products. The company operates through its segments, namely, Petro chemicals, Electronics, Inorganics, Chemicals, Aluminum, and Others. The company, founded in 1939, is currently focusing on expanding globally through its operations. The company aims to revamp its IT infrastructure in European markets and build a stronger global network in order to minimize complexities and inefficiencies.
Just like Nucor Corporation (NYSE:NUE), Wheaton Precious Metals Corp. (NYSE:WPM), and Freeport-McMoRan Inc. (NYSE:FCX), Showa Denko K.K is one of the biggest metals firms in the world.
Market Capitalization: $5 Billion
Henan Mingtai Al.Industrial is a China-based large manufacturer of aluminum foil and aluminum coil with annual capacity of 860,000 tons. The company, founded in 1997, is the largest private aluminum roll mill in China, equipped with 1+4 tandem hot mills. Henan Mingtai Al.Industrial is one of the biggest aluminum companies in the world, with more than 20 years of experience in the industry. The company has a large production unit for aluminum products. The company, with 2,000 employees, focuses on continuous technological innovations through its R&D center. Notably, the company has more than 40 invention patents and exports to more than 100 countries, which makes it one of the leading aluminum companies in the world.
Market Capitalization: $6 Billion
Yunnan Aluminum, a China-based manufacturer and distributor of aluminum products, is a company mainly engaged in the mining of bauxite, as well as the smelting of aluminum and carbon. The company distributes both locally and internationally, achieving almost 100 honors and awards for its innovative industrial achievements. The company, founded in 1970, is a state-owned holding and is one of the biggest aluminum companies in the world. During the last few years, the company has focused on a policy of low carbon emissions. It aims to build a green, low-carbon and sustainably integrated aluminum industry. The joining of Aluminum Stewardship Initiative (ASI) is a step in this regard.
Market Capitalization: $7 Billion
VSMPO-AVISMA Corporation, a Russia-based corporation which has facilities in Ukraine, UK, Switzerland, Germany, and the US, is a producer of titanium, magnesium, steel alloys and aluminum. The company is known as a production-engineering corporation, which also deals with aerospace companies around the world, such as Boeing and Airbus. VSMPO-AVISMA Corporation, founded in 1933, is one of the biggest aluminum companies in the world and the world's largest titanium producer. It is known as the most customer–friendly company in the world, where meeting exact customer/client needs is given top most priority. The company is committed towards process efficiency, technological innovation and eco-friendly production which has led towards increased global recognition. VSMPO-AVISMA Corporation accounts for over 30% of the world’s titanium market and its products are important for not only the global commercial aviation market but also the Russian defense industries.
Market Capitalization: $7 Billion
Hitachi Metals, a Japan-based company, is involved in the manufacturing and marketing of advanced metals products. The company has 29,805 total employees as of 2020. The main products are related to infrastructure, automotive, and electronics. The company boasts a 100-year history in the industry which makes it highly successful in integrating diverse human resources, technologies and products. The company is known as a major metal maker in the world with outstanding performance over the decades. Hitachi Metals, founded in 1965, aims to provide the best quality of products to everyone and achieve sustainable growth and integrity in its operations.
Market Capitalization: $8 Billion
Shandong Nanshan Aluminium Co, a China-based manufacturer and distributor of aluminum products, has become one of the biggest aluminum companies in the world. The company, founded in 2001, provides a wide range of aluminum products such as alloy ingots, alumina powder, hot-rolled products, electrolytic aluminum, aluminum foils, aluminum profiles, and cold-rolled products. Shandong Nanshan Aluminum Co sells its aluminum products both in domestic as well as international markets. The company is expanding its operations to meet the demands of the international markets, mainly Australia, the US, Canada, Italy, Singapore and Hong Kong. The firm has 40,000 employees, aiming to deliver excellent products and services to customers worldwide, and achieve sustainable growth.
Market Capitalization: $8 Billion
Alcoa Corporation (NYSE:AA), a US-based industrial corporation, is one of the world’s largest aluminum producers. The company, founded in 1888, has operations in 10 countries, producing aluminum, fabricated aluminum and alumina combined. The company has increasingly engaged in the technology, mining, refining, fabricating, smelting and recycling aspects of the sector. There are two divisions of the company, Alcoa Corporation, which is engaged in the mining and manufacturing of raw aluminum and Arconic Inc., which is engaged in the processing of aluminum and other metals. Alcoa Corporation has its R&D centers in the US, where the largest one, the Alcoa Technical Center, has its own unique zip code and an extensive intellectual and physical resource for innovation.
At the end of the third quarter of 2022, 44 hedge funds in the database of Insider Monkey held stakes worth $580 million in Alcoa Corporation (NYSE:AA), compared to 39 in the preceding quarter worth $1.2 billion.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Renaissance Technologies is a leading shareholder in Alcoa Corporation (NYSE:AA) with 4 million shares worth more than $140 million.
In its Q3 2022 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Alcoa Corporation (NYSE:AA) was one of them. Here is what the fund said:
“We bought Alcoa Corporation (NYSE:AA), a leading aluminum producer, after the stock sold off over lower commodity prices. The current price of aluminum is unsustainably low, below its cost of production, despite inventories being at historic lows. We believe these depressed prices are due to the evaporation of Chinese demand resulting from its zero COVID-19 policy, but that it will likely recover over the next few quarters.
Additionally, Alcoa is leading the industry in reducing carbon emissions from its smelting process which is helping to improve its cost position relative to global competitors. Given its compelling valuation and strong free cash flow yield, we are confident in the company as it is increasingly relied upon to meet the growing structural demand from electrification and the global energy transition.”
Market Capitalization: $13 Billion
SOUTH32, an Australia-based mining and metal company, is one of the leading aluminum companies in the world. SOUTH32, founded in 2015, is mainly involved in the mining, processing, transportation, and marketing of several commodities such as bauxite, alumina, aluminum, copper, energy and metallurgical coal, manganese, nickel, silver, lead, and zinc. The company‘s growth is fueled by its strategic commitment for optimizing the performance of its operations through investments in new markets. The company has built a strong network to achieve maximum efficiency in the global markets. The sustainability goals of the company revolve around utilizing the resources in an energy-efficient manner and achieving long term profitability in the highly volatile global markets.
Market Capitalization: $15 Billion
Hindalco Industries, an India-based aluminum and copper manufacturing company, is a subsidiary of Aditya Birla Group. The company, founded in 1958, has been listed in the Forbes Global 2000 at 895th ranking. The company acquired US-based aluminum manufacturer, Aleris Corporation, in 2020. Moreover, the company has a record for being the world’s biggest copper smelter and a leader in aluminum and copper production. The company aims towards product innovation and quality to achieve global prominence. Hindalco Industries has aluminum and copper value chains with operations in 13 countries, where sustainability is the top most priority. The company focuses on sustainable mining practices, environment-friendly disposal of industrial wastes, energy conservation, recycling, safety practices, socio-economic development of unprivileged communities and employee empowerment.
Market Capitalization: $15 Billion
Aluminum Corporation of China, known as Chalco, is one of the leading Chinese companies listed in Hong Kong and New York. Chalco is a multinational company providing aluminum products. It is the world’s second largest alumina producer, primarily engaged in the extraction of aluminum oxide, processing and production of aluminum. The company is also engaged in trading, engineering and technical services. The company has expanded its operations in the global market through partnerships and mergers. In 2011, Chalco and Rio Tinto, which is the world’s second largest mining company, created a joint venture to explore deposits in China. Chalco, founded in 2001, focuses on synergistic development of the business.
In addition to Nucor Corporation (NYSE:NUE), Wheaton Precious Metals Corp. (NYSE:WPM), and Freeport-McMoRan Inc. (NYSE:FCX), Aluminum Corporation of China is one of the biggest metals firms in the world.
Click to continue reading and see 5 Biggest Aluminum Companies In The World.
11 Best Low Risk Dividend Stocks To Invest In
15 Biggest Nanotechnology Companies in the World
11 Best Pet Stocks To Buy
Disclosure. None. 15 Biggest Aluminum Companies In The World is originally published on Insider Monkey.